Will Bitcoin Price Form a New Bottom Before the Halving Event?

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• After a period of uncertainty, Bitcoin has seen a recovery above the $41,000 level.
• Poppe mentioned in a post on X that Bitcoin will likely go through a consolidation phase before it can head towards new highs.
• “As always, patience is your friend,” said Burniske, suggesting that altcoins might experience larger percentage declines than Bitcoin.

Bitcoin price experienced a nearly 5% recovery on Friday: Will there be further declines before the halving event?

How Will Bitcoin Price Progress?

After a period of uncertainty, Bitcoin has seen a recovery above the $41,000 level. In response to industry downturns, BTC dipped below the $40,000 threshold several times. The nearly 5% recovery on Friday is at least creating a cautious tone in the market in the near term, as investors are anticipating the previous halving rally before April.

Historical data often indicates a bull period for the king coin during this time. However, analysts warn that the recovery path might be irregular. Analyst Michaël van de Poppe mentioned in a post on X that Bitcoin will likely go through a consolidation phase before it can head towards new highs. Poppe stated, “It’s going as planned.”

Chris Burniske, co-founder of Placeholder, shares a detailed view on the tragedy of Bitcoin. Burniske, whose perspective is shaped by market-specific dynamics, macroeconomic conditions, adoption rates, and new product developments, believes that the market will decline further and consolidate.

Burniske predicts that Bitcoin could form a bottom in the range of $30,000 to $36,000 and does not rule out a test down to the mid to high $20,000s for the coin to progress towards the previous all-time highs. He anticipates that this journey will be a turbulent process with deceptive rallies and may take months.

Moderate investment approach

“As always, patience is your friend,” said Burniske, suggesting that altcoins might experience larger percentage declines than Bitcoin. Despite short-term caution, Burniske maintains confidence in the long term.

He particularly focuses on a local peak and bottom in the cycle rather than an evaluation throughout the cycle, emphasizing the importance of a measured approach against market volatility, highlighting the significance of yet-to-be-fully-realized innovations in new products.